Bloomberg - Evening Briefing - No strings attached

What do Americans think of the economic car crash shaping up in Washington? Depends on who you ask, and maybe how you ask them. A CNN poll Tuesday said most Americans want a debt-ceiling deal tied to spending cuts. But in a new poll, twice as many of those surveyed sided with President Joe Biden and a “clean” deal. More than half of almost 1,000 people polled said the debt limit should be raised with no strings attached, while just 25% said it should be tied to spending cuts like those demanded by the GOP, according to a Monmouth University Poll. The survey did find that some 30% polled say the risk of economic disaster in the event of default is exaggerated. There was more common ground on everyone involved doing a bad job, with Biden garnering a 55% disapproval rate while Republicans got a 60% disapproval mark. With no deal in sight, Bloomberg Economics says the spending cuts required to get the Republican side to “yes” on a deal could cost as much as 570,000 jobs. Failing to reach a timely deal could be worse, triggering a downturn as severe as 8% of GDP. —David E. Rovella

The damage is already mounting. As catastrophe nears, some short-term government bonds are trading like junk. T-bills maturing on June 1—the so-called “X” date at which the Treasury is expected to exhaust its borrowing capacity—are currently yielding more than 6%. That’s more than some corporate bonds sold by junk-rated companies. Here’s your markets wrap.

Microsoft said it’s found malicious activity by a Chinese-state sponsored hacking group that has stealthily gained access into critical infrastructure organizations in Guam and elsewhere in the US, with the likely aim of disrupting critical communications in the event of a crisis. 

After more than three years, the global Covid emergency is officially over. Yet it’s still killing at least one person every four minutes and questions on how to deal with the virus remain unanswered, putting vulnerable people and under-vaccinated countries at risk. Covid is still a leading killer, the third-biggest in the US last year behind heart disease and cancer. Unlike with other common causes of death such as smoking and traffic accidents, politicians aren’t pushing for ways to reduce the harm, such as mandated vaccinations or masking in closed spaces. And the elderly and immunocompromised continue to pay with their lives.

Not long ago, tech seemed to promise more than virtually any other industry—more freedom, more perks and sometimes more money. That made the calculus for young professionals easy. But now that Silicon Valley CEOs have unceremoniously fired hundreds of thousands of employees in contemplation of a recession that has yet to materialize, graduates are turning away from the world of free kombucha. Instead, they’re embracing Wall Street.  

Target is removing some LGBTQ-themed merchandise after what it says was threatening behavior by some customers ahead of Pride Month in June. The move follows attacks on Anheuser-Busch InBev NV, whose Bud Light brand lost sales after engaging with a transgender influencer to promote the beer. Walt Disney Co. is locked in a feud with Florida Governor (now presidential candidate) Ron DeSantis after opposing legislation barring discussion of sexual identity in the state’s schools. 

Apple is planning a new interface for iPhones that shows information such as calendar appointments, the weather and notifications in the style of a smart-home display, part of a flurry of new features coming in its iOS 17 software update. The move is part of a broader push to embed live information in more parts of the company’s software.

Voters in Beverly Hills are not up for a weekend at Bernie’s. The town, synonymous with wealth and extravagance, are pushing back against the city council’s approval of the first US Cheval Blanc, a high-end hotel backed by Bernard Arnault, the world’s richest man. 

A rendering of the Beverly Hills LVMH Cheval Blanc Hotel. Source: Peter Marino Architect

• Bloomberg Opinion: The Kremlin offers a Trump-Putin ticket for 2024.
• Downtown LA’s commercial real estate calamity is coming for your city.
• Deaths soar on Mount Everest as a record number attempt climb.
• There’s still some scary stuff in your sunscreen.
• “Pharma Bro” Martin Shkreli is living in Queens on $2,500 a month.
• Shaq, 50 Cent and Tyler Perry vie for $3 billion BET business.
• Todd Boehly steps back at Chelsea after club’s worst season in 29 years.

There wasn’t a party in sight earlier this month as the sun set over the Grand Hotel Son Net, in the rural village of Puigpunyent in Mallorca. Instead, as the stone buildings turned golden, the only soundtrack was the bleating of the sheep that lived on the estate. In the past year the island has been embracing its quieter side, playing up its stunning inland beauty to aspire beyond the package-tour and cruise sets. Work-from-anywhere warriors have begun making it their year-round home.

One of the Mediterranean sea views on the Son Bunyola estate Source: Virgin Limited Edition

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Transformation in a Time of Uncertainty: Join us in a city near you for Bloomberg’s Intelligent Automation briefing. Top business and IT executives are gathering to explore ways to offset economic pressures and help organizations thrive by enhancing operational efficiencies and stakeholder value. Roadshow cities include San Francisco on June 20; London on Sept. 20; and Toronto on Oct. 19. Register here.